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PETER WOO’S RELENTLESS PURSUITS • SINGAPORE’S 50 RICHEST SEPTEMBER 2019 • WWW.FORBES.COM SAN MIGUEL FOOD AND BEVERAGE JOINS OUR INAUGURAL LIST OF ASIA’S 200 TOP-PERFORMING BIG COMPANIES RAMON ANG CEO, SAN MIGUEL FOOD AND BEVERAGE DISPLAY UNTIL END OF SEPTEMBER AUSTRALIA...............A $12.00 INDIA............................RS 450 KOREA......................W 10,500 PAKISTAN....................RS 800 TAIWAN......................NT $275 CHINA....................RMB 85.00 INDONESIA...........RP 90,000 MALAYSIA...............RM 26.00 PHILIPPINES..................P 300 THAILAND.....................B 300 HONG KONG...............HK $90 JAPAN.................¥1238 + TAX NEW ZEALAND.......NZ $13.00 SINGAPORE..............S $12.50 UNITED STATES........US $10.00

CONTENTS — SEPTEMBER 2019 VOLUME 15 NUMBER 6 W PAGE 30 The inaugural Best Over A Billion list of the top-performing listed companies in the Asia-Pacific region with revenues of $1 billion or more. “THE NAME OF THE 11 | FACT & COMMENT // STEVE FORBES COVER PHOTOGRAPH BY JULIAN ABRAM WAINWRIGHT/BLOOMBERG GAME IS LOW-COST, HIGH-QUALITY VALUE- This past is no path for the future. ADDED PRODUCTS.” 14 | TECH CONNECTOR // RICH KARLGAARD —Ramon Ang, CEO of San Miguel Food and Beverage Startups supreme. JINGGO MONTENEJO FOR FORBES ASIA 16 | THOUGHT LEADERS // YUWA HEDRICK-WONG 2 | FORBES ASIA SEPTEMBER 2019 Cross purposes. TECHNOLOGY 18 | SPACE MAVEN Singapore’s JustCo is capitalizing on Asia’s growing demand for shared workspaces. BY PAMELA AMBLER 22 | THE NEW NUCLEAR Some A-list names—including the Rockefellers, Charles Schwab and Buzz Aldrin—are chasing the sun at fusion-energy firm TAE Technologies. BY CHRISTOPHER HELMAN BEST OVER A BILLION 30 | TAPPING GROWTH San Miguel lured investors back to its beer and food businesses by pouring both into a single stock. BY ROEL LANDINGIN 33 | THE LIST The inaugural Best Over A Billion list of 200 top-performing listed companies in the Asia-Pacific region with revenues of $1 billion or more. BY JONATHAN BURGOS

CONTENTS — SEPTEMBER 2019 VOLUME 15 NUMBER 6 S PAGE 52 ENTREPRENEURS “WE ARE NOT A 40 | DOING THE MATH COMMODITY. WE ARE FOCUSED ON THE MASS- Former whiz kid Byju Raveendran turned his knack for numbers AFFLUENT.” into a $5.5 billion education technology giant. —Ron Sim, Founder and BY ANURADHA RAGHUNATHAN Executive Chairman of V3 Group 44 | CLOUD WARS S PAGE 78 A bevy of startups aim to revolutionize how we predict and model the weather. “GIVING MONEY IS EASY. Aging stalwarts like AccuWeather have the most to lose. MORE IMPORTANT IS THE CONTACT—CONNECTING.” BY SUSAN ADAMS —Peter Woo, Former Chairman of SINGAPORE’S 50 RICHEST The Wharf (Holdings) Ltd. 52 | SITTING PRETTY 4 | FORBES ASIA SEPTEMBER 2019 With KKR riding pillion, billionaire Ron Sim is retooling his massage chair and luxury tea businesses into a regional wellness giant. BY PAMELA AMBLER 58 | ROOM AT THE TOP Shipping tycoon Michael Kum always wanted to own a hotel. He got his wish in 2009, buying the first of what is now a $1.6 billion hotel empire. BY ANURADHA RAGHUNATHAN 62 | THE LIST A new entry at the top of the list perks up a sluggish year. BY JUSTIN DOEBELE & NAAZNEEN KARMALI INVESTING 72 | ORACLE OF APOPKA Eddie Brown grew up as a laborer in America’s segregated South. What he’s accomplished since is one of Wall Street’s greatest untold stories, a study in growing rich on the ignorance of the crowd. BY ANTOINE GARA FORBES LIFE 78 | RELENTLESS PURSUITS Five years after leaving the helm at Hong Kong developer Wharf, Peter Woo is finding more time for philanthropy, travel—and extreme sports. BY RON GLUCKMAN 84 | SERENA’S NET GAINS The most successful woman athlete ever is now translating her game and name into startup investing and entrepreneurial ventures. And she’s figured out a formula that will make it hard for her to lose. BY KURT BADENHAUSEN UNDER 30 ALUMNI 97 | TASTE SENSATION After developing his popular Japanese recipe video app, dely founder Yusuke Horie is testing sales for ready-to-cook frozen meals. BY JAMES SIMMS 100 | THOUGHTS On partnerships. UNLESS OTHERWISE SPECIFIED, ALL TOTALS AND PRICES EXPRESSED IN OUR STORIES ARE IN U.S. DOLLARS.

Headquartered in Manila, Philippines, International Container Terminal Services, Inc. (ICTSI) is in the business of port development, management, and operations. Independent of shipping or consignee-related interests, ICTSI works transparently with all port community stakeholders. Operating in both developed and emerging market economies—in Asia Pacific, the Americas, Europe, the Middle East, and Africa—ICTSI has received global acclaim for its port privatization partnerships with governments. HEAD OFFICE ICTSI South Pacific Motukea International Terminal Ltd. ICTSI Administration Bldg., Manila International Container Terminal Level 1, Harbourside West International Wharf, Motukea Island MICT South Access Road, Port of Manila, Manila 1012, Philippines Stanley Esplanade, Port Moresby, 121, NCD Port Moresby, Papua New Guinea +632 245 4101 +632 245 2245 [email protected] Papua New Guinea [email protected] ARGENTINA • AUSTRALI A • BRAZIL • CHINA • COLOMBIA • CROATIA • D.R. CONGO • ECUADOR • GEORGIA • HONDURAS • INDONESIA • IRAQ • MADAGASCAR • MEXICO • PAKISTAN • PAPUA NEW GUINEA • PHILIPPINES • POLAND

CEO William Adamopoulos Editor Justin Doebele Senior Vice President Tina Wee Executive Editor Wayne Arnold Executive Directors Eugene Wong, Aarin Chan, Janelle Kuah, Asia Wealth Editor & India Editor Naazneen Karmali James Sundram Senior Editors Jonathan Burgos, Robert Olsen, Rana Wehbe Director, Circulation Eunice Soo Art Director Mirna Aprilla Sales Directors Michelle Ong, Lindsay Williams, Janice Ang Associate Editor Grace Chung Deputy Director, Marketing & Research Joan Low Senior Reporter Pamela Ambler Deputy Director, Circulation Pavan Kumar Multimedia Editor Luke Kelly Deputy Director, Events & Communications Audra Ruyters Multimedia Producer Atika Lim Deputy Director, Conferences Jolynn Chua Research Director Sue Radlauer Senior Manager, Events & Communications Melissa Ng Office Manager Cathy Yip Senior Manager, Ad Services – Digital Keiko Wong Senior Manager, Marketing & Research Chow Sin Yee ASIA CONTRIBUTOR NETWORK Office Manager/Assistant to the CEO Jennifer Chung Ad Services Manager Fiona Carvalho Columnists Rich Karlgaard, Yuwa Hedrick-Wong Conference Managers Clarabelle Chaw, Cherie Wong Bangkok Suzy Nam Assistant Manager, Marketing & Research Gwynneth Chan Beijing Yue Wang Assistant Manager, Conferences Peh Ying Si Chennai Anuradha Raghunathan Advertising Executives Angelia Ang, Sharon Joseph Ho Chi Minh Lan Anh Nguyen Circulation Services Taynmoli Karuppiah Sannassy, Jennifer Yim Hong Kong Shu-Ching Jean Chen Jakarta Joseph Cochrane CHAIRMAN/EDITOR-IN-CHIEF Steve Forbes Manila Roel Landingin Perth Tim Treadgold FORBES MEDIA Singapore Christian Barker Chief Executive Officer Michael Federle Taipei Joyce Huang Chief Financial Officer Michael York Tokyo James Simms Chief Revenue Officer Mark Howard Chief Digital Officer Salah Zalatimo FORBES MAGAZINE Chief Sales Officer Jessica Sibley Chief Growth Officer Tom Davis Chief Content Officer Randall Lane Editor-at-Large/Global Futurist Rich Karlgaard Executive Editor Michael Noer President, ForbesWoman Moira Forbes Art & Design Director Robert Mansfield FOUNDED IN 1917 Editor-in-Chief (1917-54) B.C. Forbes FORBES DIGITAL Editor-in-Chief (1954-90) Malcolm S. Forbes Editor (1961-99) James W. Michaels VP, Investing Editor Matt Schifrin Editor (1999-2010) William Baldwin VP, Video Kyle Kramer ASSISTANT MANAGING EDITORS Wealth Kerry A. Dolan, Luisa Kroll Leadership Frederick E. Allen Washington Janet Novack SportsMoney Michael K. Ozanian Department Heads Mark Decker, John Dobosz, Clay Thurmond VP, Editorial Counsel Jessica Bohrer September 2019 Volume 15 • Number 6 FORBES ASIA (ISSN 1793 2181) is published monthly, except bimonthly in May/June and July/August, with an additional special issue in October. FORBES ASIA is printed at Times Printers in Singapore. Singapore MCI (P) 069/12/2018. Malaysia KDN PPS 1411/01/2013 (022902). All rights reserved. Title is protected through a trademark registered with the U.S. Patent & Trademark Office. Forbes Asia is a trademark of Forbes Asia. Copyright © 2013 FORBES ASIA. CONTACT INFORMATION For Subscriptions: visit, email [email protected] or call FORBES ASIA at +65 6836 1652 / +65 6836 9476. For Advertising: visit, email [email protected] or call FORBES ASIA at +65 6836 3408. For Article Reprints or Permission to use FORBES ASIA content including text, photos, illustrations and logos: email [email protected] or call FORBES ASIA at +65 6836 3408. Use of FORBES ASIA content without the express written permission of FORBES ASIA or copyright owner is expressly prohibited. 6 | FORBES ASIA SEPTEMBER 2019

Headquartered in Manila, Philippines, International Container Terminal Services, Inc. (ICTSI) is in the business of port development, management, and operations. Independent of shipping or consignee-related interests, ICTSI works transparently with all port community stakeholders. Operating in both developed and emerging market economies—in Asia Pacific, the Americas, Europe, the Middle East, and Africa—ICTSI has received global acclaim for its port privatization partnerships with governments. HEAD OFFICE Batumi International Container Terminal LLC ICTSI Administration Bldg., Manila International Container Terminal 11 Baku Street, Batumi 6010, Georgia MICT South Access Road, Port of Manila, Manila 1012, Philippines +995 42227 6269 [email protected] +632 245 4101 +632 245 2245 [email protected] ARGENTINA • AUSTRALI A • BRAZIL • CHINA • COLOMBIA • CROATIA • D.R. CONGO • ECUADOR • GEORGIA • HONDURAS • INDONESIA • IRAQ • MADAGASCAR • MEXICO • PAKISTAN • PAPUA NEW GUINEA • PHILIPPINES • POLAND

SIDELINES Being the Best This issue inaugurates a new list: the annual year, on these rankings. It’s a strategy that can be found Best Over A Billion, with 200 of the best- in others, such as Warren Buffett, who has for decades performing listed companies in the Asia- remained one of the world’s richest men due to his Pacific region with revenues of $1 billion or astute management of his Berkshire Hathaway, in more. The list was designed as a bookend to the notable which he is also a major shareholder. Best Under A Billion, which selects the region’s 200 best-performing companies below $1 billion in sales. Lessons can also be drawn from the other list in this issue, the Singapore rich list, whose collective mem- The spectrum is now complete, with a group of 400 bership of 50 continue to create wealth despite a slight companies representing the top-performing companies overall decline in the Singapore stock market since in the region. While some chose to focus on one the last iteration of this annual list. As long argued by metric, such as sales, for rankings, the approach here is Forbes Asia, entrepreneurs left to their own devices, different: select the companies that perform well over a with minimal interference and a level playing field, will range of metrics, using a composite scoring system to always find a way to bring value to themselves and the find those managed astutely across the board. society in which they operate. For any and all com- ments, feel free to email me at [email protected] The Best Under A Billion list has had a track record of identifying early on some of Asia-Pacific’s most Justin Doebele successful companies, such as Alibaba and Jollibee. Editor, Forbes Asia By adding this second list, the radar screen has been expanded to the bigger firms in the region. The criteria for this second list, while not identical, was designed to be similar enough to create continuity, so companies showing up on the Best Under A Billion list can “graduate” to the Best Over A Billion list as their revenues top $1 billion. Another new metric introduced this year makes the connection between Best Over A Billion companies and those dominated by Asia-Pacific’s business families or entrepreneurs. Unsurprisingly, the correlation was quite strong—nearly two-thirds of the 200 are controlled or connected to families or individuals who have appeared on Forbes Asia rich lists. This finding makes intuitive sense, as the interests of key shareholders and those of their companies are strongly aligned. If the company does well, so will the family or the individuals. When one has many eggs in one basket, it’s natural to closely watch—and grow— the basket. Importantly, the motivation is to seek long-term sustainable growth, a hallmark of the Best Over A Billion companies, rather than short-term gains. That approach is an oft-proven method for gaining entry on one of the various regional rich lists, and why many members of these rich lists remain fixtures, year after 8 | FORBES ASIA SEPTEMBER 2019

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FACT & COMMENT “With all thy getting, get understanding” THIS PAST IS NO PATH FOR THE FUTURE BY STEVE FORBES, EDITOR-IN-CHIEF EUROPEAN ECONOMIC growth rates have Countries that have upped their econom- lagged those of the U.S. for decades. Since ic game a bit in more recent times, such as the crisis of 2008, for instance, the average Sweden, Denmark and Hungary, didn’t go in pace for the EU has been 0.9% versus almost an anti-Reagan/Thatcher direction. 2% for the U.S.—and that 2% is regarded as subpar. This EU sluggishness (along with What we see unfolding in the EU is a deep concerns over uncontrolled immigra- form of insanity: Keep applying what doesn’t tion) has spurred the rise of nontraditional, work, and when that fails, do it some more. “populist” political movements. And how are It reminds one of medicine a few centuries existing parties responding? By promoting ago, when doctors would bleed patients: The policies that guarantee even more economic worse they got, the more they were bled. stagnation: more taxes on corporations and the “rich,” more spending for social programs and pensions This is all the more reason to clear away and more regulations on businesses. As the Wall Street Jour- the trade/tariff uncertainties that are holding nal headlined, “Europe’s Political Parties Promise a Return back corporate investment. Businesspeople need to know to 1970s—To fend off populists, struggling parties embrace what the rules are before they will commit. Provide those, bigger government.” and the U.S. economy will really roar—and that big suc- cess may provide a teachable moment to our floundering Yes, our continental friends did do some things right, friends overseas. thanks to the successes of Ronald Reagan and Margaret Thatcher, primarily selling off government-owned busi- Try Common Sense: Replacing the Failed nesses and somewhat reducing their sky-high tax rates— Ideologies of Right and Left especially in recent years—on corporations. However, compared with U.S. standards, the EU’s tax and regulatory By Philip K. Howard (W.W. Norton, $25.95) burdens are still crushing. HERE’S A SMALL BOOK with blockbuster content. It gets Every one of these countries has fearsome value-added to why, even in the midst of a strong economy, Americans taxes, which are really super sales taxes. In Denmark the feel there is something deeply wrong with our country VAT is 25%, in beleaguered Greece 24%, in the U.K. 20% today. We once were a commonsense, can-do country. Yet and in Germany 19%. The U.S. has no VAT; most states we’ve become a place seemingly stuck in molasses, and we have levies, but none above 10%. are ever more fearful of inadvertently offending something or somebody. Society has never seemed so disputatious. Far worse are European payroll taxes. The American ver- sion, dubbed FICA, is 15.3% on the first $132,900 of income Why, for decades, have we been inundated with an and 2.9% on income above that. In contrast, the level in EU endless blizzard of nitpicking rules and regulations? Why countries is, astonishingly, two to three times ours. In France, does it take ten years to build a highway that once took two a sluggish economic performer since the 1970s, the payroll years? Why can’t teachers discipline students anymore? tax is 65%—45% paid by the employer, 20% by the employee. Why can’t grossly incompetent or abusive government workers be fired without immense, time-consuming pro- Regulations, especially those regarding labor, have long cedures? Why have judges lost control of their courtrooms been more onerous and severe than those in the U.S. Ob- to extortionist litigants? Why have so many colleges and servers are only half-joking when they say it’s easier to di- universities surrendered to anti-free-speech extremists? vorce a spouse than it is to shed a worker in most of Europe. When things are not done right in the government, why is These burdens have been eased only slightly since the 1970s. it impossible to insist on responsibility? Structural changes in pensions for government bureau- And the political consequences are serious, as people crats or in labor laws are fiercely resisted, as any French presi- increasingly feel they’re losing control over their lives. dent can testify. Germany was able to make some reforms in the early 2000s that led to better growth. But they cost the Howard says the crisis began in the late 1960s, when the chancellor his job and have been chipped away at since then. notion grew in law schools that society would run better SEPTEMBER 2019 FORBES ASIA | 11

FACT & COMMENT STEVE FORBES and more fairly if we were governed spend more and more brainpower and • Remove most government agencies by precise rules that would minimize resources trying to comply with idiotic from Washington and relocate them individual discretion, thereby prevent- strictures. Howard cites the case of an around the country. This way officials ing the exercise of arbitrary power. The upstate New York apple orchard that is would be living and working among real situation was made worse by the rise of subject to 5,000 rules from 17 different people instead of being ensconced in the government unions that have made the programs and agencies. One particu- Beltway bubble. removal of nonperforming personnel a larly nonsensical edict: When apples are virtual impossibility. removed from a tree, the cart in which Performance would improve as they are put must be covered by a tarp well. The effective Centers for Disease Howard’s short yet blood-pressure- lest birds poop on them. Remember, Control & Prevention is located in raising book makes the case that the these apples have been on tarpless trees Atlanta. The Food & Drug Adminis- current political parties—rhetoric to the for five months before being harvested tration, for example, could move to a contrary—are too vested in the status and will be rigorously washed when science-oriented locale, such as Boston. quo to make the radical changes that they get to the shed! The Department of Housing & Urban would allow America to again be the Development could pull up stakes for practical culture we once were. Undermining democracy with a the reviving city of Detroit. blizzard of nitpicking, suffocating rules True, the Trump administration is was a danger foreseen by Alexis de Toc- Decentralizing the federal govern- making a sustained effort to roll back queville, author of the still highly per- ment would also make life infinitely provisions that have been crushing tinent book Democracy in America. He harder for the hordes of lobbyists to ply the economy, an effort that has been warned back in the 1830s of “a network their trade: Agencies would no longer crucial to the economic resurgence of small complicated rules, minute and be a cab ride away. since 2017. But these gains still pale uniform, through which the most origi- • File the lawsuit of the century. Thanks beside the 150 million words (this is nal minds and the most energetic char- to unions and ill-conceived legislation, it’s only a rough estimate, as no one really acters cannot penetrate. . . . The nature virtually impossible to fire government knows) of rules and regulations out of of despotic power in democratic ages is workers. This dramatically hurts per- Washington that have stultified Ameri- not to be fierce or cruel, but minute and formance and has made it impossible to can life for a half century. How durable meddling.” hold bureaucrats to any kind of account- will the Trump gains be? Judging from ability. This is demoralizing to people attempts by several preceding admin- What’s to be done? Here are some who are actually dedicated to their work. istrations to curb excesses, the regula- remedies. And it makes for bureaucratic bloat. tory onslaught will resume as soon as • Regulation by principles, not massive there is a political change. Like kudzu, rule books. Among the examples cited But such civil service invulnerability it seems unstoppable. by Howard is the case of Australian is unconstitutional. Article II of the Con- nursing homes. Thick rulebooks were stitution gives the president the power Congress, for example, struts about replaced with 31 general principles. to remove executive branch employees. issuing statements, holding hearings and Result: “Within a short period, nursing James Madison, considered to be the in- raising funds but defers real responsibil- homes were markedly better because . tellectual father of the Constitution, said: ity to others, particularly administrative . . the operators, regulators, and family “If any power whatsoever is in its nature agencies. Call it press-release politics. representatives started focusing on qual- executive, it is the power of appointing, ity instead of compliance.” overseeing and controlling those who Independent judgment by officials execute the laws.” The whole civil ser- achieving real results and being indi- vice reform movement of the late 19th vidually accountable for performance century was about stopping the hiring have been smothered by a culture of op- of political hacks and instead relying on erating by the rules. “Terrible officials, exams to test for competency. It was not teachers and contractors keep their jobs about the president’s power to dismiss because they fill out the forms correctly. government employees. A successful . . . Washington is run by inertia. No one suit here would dramatically change the wants responsibility for actual results.” culture of modern governance. The consequences of this tsunami of Howard also discusses other actions. rules go beyond government. Businesses Kudzu may be unstoppable, but the poisonous plants of witless, asphyxiat- Introducing ing, ever proliferating rules and unre- sponsive, unaccountable government What’s Ahead, bodies can be halted and rooted out— but as this book makes clear, only if we, the new podcast hosted the people, take action. F by Steve Forbes. Subscribe now on iTunes or GooglePlay Store. 12 | FORBES ASIA SEPTEMBER 2019

TECH CONNECTOR Startups Supreme J ohn Chambers, who Are you overhyping digital transformation and AI? BLOOMBERG just turned 70, prefers to take any stage at a No. It’s the biggest trend in the last 30 years, since the com- run. In his tech trendy mercialization of the Internet. Bigger even. It will produce uniform—blue blazer, an impact two or three times what the Internet did and in a designer jeans, checked shirt, much faster pace. It is accelerating. and blue boat shoes—he still exudes the physical energy of How do you like being a VC? his successful tenure as CEO at Cisco Systems, which he I’m not a real VC. I’m more of a strategic partner with these grew from an annual reve- startups. I bring in talent to help them grow in scale. I’m a nue of $2.2 billion in 1995 to $49 billion in 2015 when he mentor and coach, and an investor. Once the team gets to stepped down. Today Chambers runs his own boutique know me, investing is probably number three or four of what investment firm, JC2 Partners, in Palo Alto, California. they’re after in terms of my time and my energy. I teach about He prefers to call himself a mentor to startup CEOs rath- 40 individual sessions a month. My idea of fun is to take 12 er than a venture capitalist. When he’s not in Silicon Val- startup CEOs on a week of camping and fishing in Alaska. ley he can often be found in India, where he advises Prime Minister Narendra Modi’s government on digital transfor- mation and the economy. I caught up with Chambers in mid-August: Forbes Asia: Why are you interested in startups? Chambers: I did 180 acquisitions at Cisco. Though Cisco was big, I had to think like a startup CEO. I believe that most of the innovations will come from startups in the fu- ture. Large companies are motivated by this quarter and this year. But big innovations take you three to five years out, and you need courage to go for it and no fear to make it happen. That favors a startup mentality. That’s not the accepted view. Many forecasters think tech giants like Google, Amazon, Alibaba and Tencent will drive innovation for the next decade. Not what I see. I teach at Stanford. I forgot the last Stan- ford student that went to a large company. They go to start- ups. Same thing at MIT. Same thing with the IITs in India. Even with Polytechnique in France. The world desperate- ly needs healthy startups. Large companies, because of AI, are not going to grow head count for the next decade. Or maybe ever again. So therefore all job creation will have to come from these smaller companies getting big. 14 | FORBES ASIA SEPTEMBER 2019

RICH KARLGAARD John Chambers at various events and conferences. “My idea of fun is to Will Silicon Valley remain the dominant hatchery for take 12 startup CEOs high-tech startups? on a week of camping and fishing in Alaska.” The $600 billion in the valuation of U.S. unicorns gives Sil- icon Valley a false sense of optimism. In truth, the number of startups that are being put in the pipeline and the num- ber that are coming out is half of what we did the 1990s. Why are you so bullish on India? If you believe that digital transformation and AI are eco- nomic and social game changers, with a potential impact greater than the internet, then you look at how a coun- try thinks about this for their future. PM Modi is the best leader in the world on this topic. He gets the need to build a startup ecosystem because that’s where the majority of your jobs will occur. He gets the execution, too: How you change education, build smart cities, improve security, cre- ate inclusion. I’ve met every leader in the world multiple times over the last 30-some years, and Modi is in the top three. I would say India is executing at the very high end of what is occurring anywhere in the world. The economy in India, in my opinion, will grow between 7% to 11% for the next decade. Is that growth sustainable? You’re really asking, “Is India different?” Yes, and it’s not just Modi’s vision. It’s their IITs. India is graduating 600,000 engineers a year. A dozen of the IITs are doing startup incubation groups. Remember, it took China over two decades to really get rolling in tech startups and then go explosive in the last 10 years. India may make this move in literally a decade. Sort of like Singapore under Lee Kuan Yew. If Singapore had 200 million people, it’d rule the world. Are you bullish on the rest of Southeast Asia? I think Southeast Asian countries like Indonesia and Viet- nam will be the next inflection points. Their economies are already growing mid-single digits, maybe a little bit bet- ter than that. They have young populations. They have a role model in India. Deep down most of them have a fear of China, which means they will be more of a follower of India. So, yes, I think in India is where I’d double down today and Southeast Asia is where I’d be doubling down in 5 to 10 years. F Rich Karlgaard is editor at large at Forbes. As an author and global futurist, he has published several books, the latest of which is Late Bloomers, a groundbreaking exploration of what it means to be a late bloomer in a culture obsessed with SAT scores and early success. For his past columns and blogs visit our website at SEPTEMBER 2019 FORBES ASIA | 15

THOUGHT LEADERS YUWA HEDRICK-WONG // ECONOMICS MATTERS Cross Purposes The global economy is more competitive. All of these shenanigans have made cur- getting more turbu- rency markets more volatile, which directly affects global lent. Edgy market sen- trade volumes, according to IMF chief economist Gita Gopi- timent could flip to nath. bearish from bullish. Perversely, Trump’s actions on trade and currency are now imposing stock markets are rallying not be- a discernible drag on global economic growth. Less apparent cause of the prospects for healthy is the deeper threat they pose to global economic stability. In growth, but on expectations that weaponizing trade, Trump has infected the global economy central banks will cut interest with a deep uncertainty, driving footloose capital to seek the rates. Making the wobbles worse relative safety of the U.S. dollar, the de facto reserve currency is the fact that President Donald of the global economy. Trump has weaponized both trade and the dollar in pursuing This serves to push the dollar upward—the exact oppo- his avowed goal of making America great again. site of what Trump wants. Trump is working at cross-pur- In imposing sanctions and tariffs—as well as banning poses and succeeding only in destabilizing the global econ- American firms from doing business with a growing list of omy. In the language of physics, turbulence results from foreign companies on grounds of national security—Trump the mixing of chaotic changes in energy flows bumping up has enfeebled global trade, turning it into a brake on glob- against each other from different directions. This is what is al growth. The business outlook has dimmed not because of happening to the global economy. Global economic stability poor fundamentals, but because companies are no longer will inevitably return once trade and interest rates are nor- sure where and with whom they can invest and expand with- malized. Under Trump, neither of those things is likely to out incurring the ire of President Trump, which affects com- happen anytime soon. F panies in the U.S. and the rest of the world. The China-U.S. trade war is especially damaging because it effectively puts global investment on ice and suspends any mean- ingful forward planning. Many American companies are also deeply worried about their business in China, which generates around $250 billion of revenues annually. Trump is also weaponizing the U.S. dol- lar, instructing the U.S. Treasury to put more countries under surveillance for sus- pected “currency manipulation,” making them vulnerable to potential retaliatory sanctions. No surprise that China has been named “currency manipulator” by Trump, but the list also includes many of America’s closest allies in Asia and Europe. Trump also changed the rules to make it easier to label a country a currency manipulator. However, concurrent to these moves is Trump’s own hectoring and pressuring the In weaponizing trade, Trump has infected the SAUL LOEB/AFP/GETTY IMAGES Federal Reserve to cut interest rates to sup- port domestic growth, which would weak- global economy with a deep uncertainty. en the dollar and make American exports Yuwa Hedrick-Wong is Chief Economics Commentator for Forbes Asia. He is also a visiting scholar at the Lee Kuan Yew School of Public Policy, National University of Singapore. Having worked as an economist across the Asia-Pacific, Europe, Middle East and Africa in the past 25 years, he regularly writes columns about the global economy for Forbes Asia. Email: [email protected] 16 | FORBES ASIA SEPTEMBER 2019

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TECHNOLOGY Kong Wan Sing, founder of JustCo. Space Maven Singapore’s JustCo is capitalizing on Asia’s growing demand for shared workspaces. BY PAMELA AMBLER Kong Wan Sing has bounced end that will bring the total raised to JustCo offers larger spaces than most JULIANA TAN FOR FORBES ASIA back from a brush with entre- more than $700 million. of its competitors for less than WeWork; preneurial oblivion. Early last a desk at JustCo starts at below $300 a year, he walked away from Asia’s larger landlords and develop- month, compared with $400 and up at a merger he needed to keep his Singa- ers are also jumping into this game. In WeWork. WeWork declined to com- pore-based coworking space operator, Hong Kong, Swire Properties in 2015 ment for this article. JustCo, from being gobbled up by the opened its own flex space, Blueprint, likes of giant rival WeWork. The deal while Hongkong Land is set to launch Entrepreneurship is in Kong’s blood. would have combined JustCo, Southeast its own coworking space this year. In His father ran a textile business in Ma- Asia’s largest operator, with WeWork’s Singapore, CapitaLand is installing laysia, Sing Long Group, supplying closest rival in China, Shanghai-based flexible workspaces in two of its prime the likes of Adidas, Nike and Reebok. Naked Hub, creating a combined entity office buildings. After earning a bachelor’s degree in fi- valued at roughly $600 million. But as the two companies were conducting their due diligence, Kong started to see cracks forming in the relationship. Rather than try to paper over the differences, Kong rejected the advice of shareholders and made the fateful decision to go it alone. “It was painful to kill the merger because I had no clue how to grow the business anymore,” says the Malaysia-born Kong, 42. “If I don’t merge to get bigger, I get consolidated or I get killed off.” But JustCo wasn’t killed off. On the contrary, the company Kong founded in 2011 is on track to triple its regional footprint by the end of the year, to more than 140,000 square meters of office space in eight cities in Australia, Greater China and Southeast Asia. And Kong is busy raising $500 million in new fund- ing, a deal he expects to close by year- 18 | FORBES ASIA SEPTEMBER 2019

Shared Opportunity even considering turning pro. His Tikehau Capital Partners. In October mother talked him out of it. “My mom 2017, the company—now renamed JustCo’s expansion comes at what appears told me, ‘Hey, you got to stop this,’” JustCo—raised another $12 million an opportune time: demand for flexible Kong recalls. “She said, ‘Go get a job in for a 7% stake from Thai property work space in Asia is outpacing any other Singapore. Learn from big firms.’” developer Sansiri International, which region. Coworking space in Asia is growing JustCo says valued it at $200 million. roughly 36% a year, according to property So he did. Kong landed a job at Ma- consultant JLL, compared with 26% in the pletree Investments, the property arm But JustCo wasn’t the only coworking U.S. and 22% in Europe. The proliferation of Singapore’s sovereign fund, Temasek. company expanding: in mid-2017, Soft- of startups is feeding this trend, as many of It was there he first saw business center Bank and Beijing-based Hony Capital them prefer shared workspaces. operators such as Luxembourg-based pumped $500 million into New York- Regus capitalizing on the shift to flexi- based WeWork to fund its own Asian Even multinationals are making room ble workplaces. “I felt they were lacking expansion. WeWork then bought Space- for shared space, lured by the ability to rent something, the human touch,” he says. mob, a smaller coworking space oper- fully furnished space with more flexible With $5 million in seed financing from ator in Singapore and started snapping leases. Roughly 60% of JustCo’s tenants his family, Kong in 2011 started JustOf- up space across Southeast Asia. Kong are big corporations, including Dropbox, fice and launched his first serviced of- knew even as the Sansiri deal was clos- General Electric and Grant Thornton. fice in downtown Singapore. Within two ing that he was outgunned. months, JustOffice had leased out its Serviced offices have been around for space, so Kong rented another floor in It was then he sought out Grant decades, but shared offices offer much the same building, then another floor in Horsfield. Horsfield, a South African en- more than a receptionist and desk. Many the office tower next door. Six months trepreneur who moved to Shanghai in offer a shared kitchen and bar, common later, the space was filled and Kong rent- 2007 and started Naked Group. By 2017, games such as billiards and space for yoga ed another floor. he had built his Naked Hub into China’s and meditation. They also take advantage biggest coworking space operator, with of social networking tools to match clients By 2015, JustOffice could boast that 21 locations. Kong flew to Shanghai to to potential business partners. it was the biggest coworking space meet Horsfield. Over a steak dinner, operator in downtown Singapore and they bonded over their shared vision. A nance and information systems at NYU began turning its gaze to the rest of merger between JustCo and Naked Hub Stern School of Business in 1998, Kong Asia. Funding to expand rolled in. In seemed a foolproof way to fend off We- turned down an offer to work at Gold- 2015, Kong raised $8 million for an Work, Kong says: “He’d look after China, man Sachs. Instead, he moved to Boston undisclosed stake from Singapore’s and I’d look after outside China,” Kong at the height of the dot-com era to de- Pinetree Capital and Paris-based says, “and conquer Asia together.” velop an equity research website with a classmate. Within six months, his firm folded and Kong took a job at Ernst & Young in New York. Back home in Malaysia, Kong’s fa- ther, facing a shift in manufacturing to China, sold Sing Long’s factory and in- vested the cash in property. Not want- ing to rely on outsiders to develop the land, Kong’s father phoned his son, who eagerly ditched his job in accounting to come home. By 2007, Kong had built six residential and commercial buildings and, all the property sold, retired from development to perfect his golf game, SEPTEMBER 2019 FORBES ASIA | 19

TECHNOLOGY Kong also started talking to Singa- then told GIC the news, he says, and Around the same time, Horsfield pore’s sovereign wealth fund GIC in suggested they might want to consider sold Naked Hub to WeWork for $400 2016 about an investment into JustCo. investing in Naked Hub alone. million and JustCo opened its first space Those talks got more serious, Kong abroad, in Bangkok. That was the start says, when he told GIC it might soon But GIC had a different reaction. of a rapid Asian expansion that has now be able to invest in a pan-Asian work- A week later, Kong says, it told him it taken JustCo into Australia, Greater space operator with exposure to China. would prefer to invest in JustCo and China and South Korea. Less than a year fund its expansion into Naked Hub’s after Kong walked from the merger with As the merger talks ground on, China turf. Shortly thereafter, Kong says Naked Hub, JustCo had surpassed the though, Kong began to have doubts. he got a call from the CIO of Singapore- size of their combined entity. By the end “The DNA of how he runs the company based, Thai-owned Frasers Property, of this year, JustCo aims to have 40 loca- and how I run the company are very Uten Lohachitpitaks, asking Kong tions and is eyeing India and Japan. different,” says Kong. The two entre- to visit. “The next day I was meeting preneurs tussled over management, he with Panote Sirivadhanabhakdi,” It’s also moving beyond leasing its says, and their external communications Kong recalls, Frasers’ CEO and the own properties and instead running began to reflect different interpretations son of Thai billionaire Charoen someone else’s. Singapore’s GuocoLand, of the deal. It became apparent to Kong Sirivadhanabhakdi. Frasers wanted for example, has appointed JustCo to that Naked Hub saw JustCo as the ju- in, too. “JustCo’s platform as a service manage three floors in one of its down- nior partner. approach is aligned with Frasers town office towers. “The design of Just- Property’s commitment to deliver Co’s latest coworking concept will further Horsfield agrees somewhat. “I think enriching and memorable experiences enhance our building’s vibrancy,” says from our perspective the partnership for our customers,” says Panote, in an Valerie Wong, general manager of com- just didn’t make sense once all JustCo’s emailed comment. mercial for GuocoLand Singapore, in an demands were considered. Very possibly emailed comment. Kong says he’s pursu- a different DNA,” he says. “For us it was In May 2018, Kong reached a deal ing similar partnerships with top proper- a very lucky miss.” for JustCo to issue new shares and sell ty developers in Hong Kong, Jakarta, 70% of the company to GIC, Frasers Manila and Taipei. With his deal to close Kong’s shareholders were still gung- and Kong for $177 million. Kong re- $500 million in new funds ostensibly ho for a merger, though. “They all kept tained roughly a third of the company near, Kong wants more than money. “I telling me to swallow whatever ego you after the deal, according to JustCo, while want strategic partnerships rather than a have,” says Kong. Late one night the fol- its remaining shareholders were diluted financial investor,” he says. F lowing January, however, he called with down to a 30% stake. his decision: the merger was off. Kong Desk cost per month $412 SHANGHAI Space Race 2 Number of shared 140 JustCo’s footprint is workspace centers expanding across Asia, but so is the competition. JustCo’s locations $440 SEOUL TAIPEI SINGAPORE $573 2 3 16 29 24 150 *No date available JAKARTA on shared workspace 3 and cost in Bangkok. 107 $414 $146 $690 SYDNEY 2 48 MELBOURNE 2 $552 51 BANGKOK* 3 SOURCE: COLLIERS INTERNATIONAL 20 | FORBES ASIA SEPTEMBER 2019

TECHNOLOGY TIM PANNELL FOR FORBES The New Nuclear Some A-list names—including the Rockefellers, Charles Schwab and Buzz Aldrin— are chasing the sun at fusion-energy firm TAE Technologies. BY CHRISTOPHER HELMAN Walking with Michl Bind- erbauer into his 8,000 square meter laboratory feels a bit like taking a fac- tory tour with Willy Wonka. In one cor- ner Binderbauer, chief executive of TAE Technologies, shows off a new machine that blasts cancer tumors with a neu- tron beam. Engineers huddle in a control room. Beyond their window: Norman. That’s the name of TAE’s 30m-long prototype nuclear fusion reactor, a mag- nificent assemblage of stainless steel ves- sels, electromagnets and particle accel- erator tubes. Once every eight minutes Norman emits a clang, as it transforms 100 million watts of electricity into a cloud of 30 million degrees Celsius plasma and blasts it with beams of protons (the sim- plest form of hydrogen). They smash to- gether with enough force to fuse into heli- um—releasing copious amounts of energy in the process. “It’s a function of violence,” says Binderbauer, 50, with a smile. TAE, known until last year as Tri Alpha Energy, has raised $600 million, most recently at a valuation of more than $2 billion. Investors include the late Paul Allen’s Vulcan Capital, the Rockefeller family’s Venrock, and Big Sky Capital, family money of billionaire stock trader Charles Schwab. They’re betting that TAE will be able to tame fusion into a source of electricity. Fission, which powers several hun- dred nuclear plants, is the splitting of ura- nium atoms into medium-size atoms to release energy. Fusion, which makes the stars glow, goes the other way, combin- ing small atoms into larger ones to release energy. Fission carries the risk of a melt- 22 | FORBES ASIA SEPTEMBER 2019

down and creates radioactive waste that “We struggle with er likens the process of controlling a has to be set aside for 10,000 years. Fu- a millionth of a ball of plasma to holding a spinning sion promises to be meltdown-proof second, and the ball of liquid Jell-O in place with rubber and waste-free. stuff oozes away.” bands: “We struggle with a millionth of a second, and the stuff oozes away.” “With fission it’s a chain reaction— Michl Binderbauer (below) pitches Thirty million degrees, moreover, is too once you’re in, it’s a like a pact with the the cocktail party circuit on TAE’s cool; TAE aims for 2 billion degrees. devil; it’s hard to get out,” says Binder- fusion energy promise. bauer, an effusive talker who runs TAE Russian physicists began working on from a eucalyptus-lined industrial park fusion in the 1950s. They thought a com- southeast of Los Angeles. “With fu- mercial reactor might be ready in 15 sion you don’t have that. It’s tricky to get years. That’s been the forecast ever since. started and even trickier to keep going.” In a corner of the laboratory, Binder- bauer keeps a gallery of past fusion pro- Tricky—or impossible. Binderbau- totypes, none of which produced more electricity than it consumed. But the believers keep coming. “Right now, nuclear technology is one of our best scalable, baseload, zero- carbon power sources,” Bill Gates says in a statement. “But it comes with a number of challenges.” Gates is putting money into a Massachusetts Institute of Technology fusion spinoff called Commonwealth Fusion Systems, which hopes to have an energy-positive reactor by 2025. Digital billionaires Peter Thiel and Jeff Bezos are backing yet other fusion schemes. They’re all competing with a multinational project in France that is using $20 billion of taxpayer money. “I understood the limitations of re- newables,” says Charles Schwab’s son Mi- chael, who invested $50,000 in Tri Alpha in 2002 when he was 25 and has par- ticipated in every funding round since. “This could solve our energy problems.” What makes fusion safer than fis- sion? The reactor is under vacuum, ex- plains David Hill, director of a fusion test reactor at General Atomics in San Diego. “Any leaks are inward, and a leak would put the fire out.” Besides, he says, there’s nothing to melt down. “If you turned all the plasma into a solid” and piled it up, the amount “is less than a grain of salt.” Tri Alpha Energy got its start with Norman Rostoker (1925–2014), a Ca- nadian who taught at the University of California, Irvine, and in 1988 won the Maxwell Prize for plasma physics. He and Glenn Seaborg, the Nobelist dis- coverer of plutonium, saw the tech- nical limitations of the consensus ap- SEPTEMBER 2019 FORBES ASIA | 23

TECHNOLOGY TAE has run more than 12,000 experimental shots through Norman, its $100 million particle collider. proach to fusion energy, which smashes Enter Hollywood. Rostoker met Binderbauer fantasizes about the eco- TIM PANNELL FOR FORBES heavy isotopes of hydrogen together, actor Harry Hamlin, the son of a rocket nomics. Solar cells can be made at a cost fusing them into helium while magnet- scientist, who, despite being named the of a dollar per watt of peak-time gen- ically confined in a donut-shaped ves- sexiest man alive by People magazine in eration capacity. Maybe TAE could get sel called a tokamak. Much of the ener- 1987, rubbed elbows with plasma phys- the price of building a fusion generator gy emitted from that reaction comes as icists at cocktail parties. Hamlin co- down to $1.50 per watt, at which point high-speed neutrons, which over time founded Tri Alpha. Then moon-walker its electricity would be cheaper than corrode the reactor vessel. Buzz Aldrin signed on. Google co- solar because it doesn’t go off at night. founder Sergey Brin has taken a tour Rostoker, with Austrian-born Bind- and has lent his artificial intelligence But it’s going to be a long wait be- erbauer as a postdoctoral student, brain trust to help crunch data. Jeffrey fore venture capitalists see a TAE power worked on an alternative plasma-cham- Immelt, the deposed boss of General plant. To amuse them in the meantime, ber reaction that involves shooting Electric, is the latest star on the board. Binderbauer has set up a subsidiary that beams of protons (elemental hydrogen) produces particle accelerators for use in at an isotope of boron. This chemistry Celebrity brings in dollars, and TAE cancer treatment. (The idea is to shoot produces few neutrons; instead, it spits drinks up a lot of them. The build- neutrons at tumors that have taken up out positively charged alpha particles ing and equipment in Foothill Ranch, boron molecules, causing a pinpoint of that might be able to generate electrici- California, cost $150 million (or $250 intense heat to kill the tumor.) Last year ty without the steam turbines now seen million including Norman) and need TAE raised $40 million to build the first in nuclear plants. In 1997 they created another $50 million a year to keep device, which will soon be shipped off a stir when Seaborg helped them publi- humming. Now Binderbauer wants to China. GE is big in medical equip- cize their breakthroughs in the journal $200 million or so to build the first hy- ment, and Immelt’s connections will Science. But landing government grants drogen-boron prototype, the last step- help. TAE is going to need connections, to pursue their work was difficult. Too ping stone in plasma research before a dollars and luck to achieve ignition. many plasma experts had devoted their commercial fusion reactor, operating at Two billion degrees? “It sobers you up,” careers to the tokamak. much higher temperatures. Binderbauer says. F 24 | FORBES ASIA SEPTEMBER 2019

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PROMOTION HENRY JACQUES The Art of Fragrances Like its bespoke creations, the French haute perfume house has designed its exclusive boutiques to be timeless and showcase a distinctive style and elegance all of their own. Inside the Singapore boutique

PROMOTION Henry Jacques boutique in Singapore The private viewing room Since its founding in 1975 by Henry Jacques shops. Its first-ever retail presence debuted as jewel-toned flasks made by the world’s lead- Cremona, French haute perfume Henry a store-in-store at Harrods in London in 2014. ing crystal-glass makers and jewelers. Jacques has forged a reputation for creating This was followed by two stand-alone bou- bespoke scents for elite members of soci- tiques in Asia; the first at the Singapore luxury Les Classiques Collection ety—from members of royalty to captains of hotel Marina Bay Sands, and another located at industry. The soul of Cremona’s creations lies Pavilion Kuala Lumpur shopping center. These In 2014, Henry Jacques’s daughter, Anne-Lise in a laboratory in the town of Grasse on the boutiques offer a diverse range of products— Cremona, introduced the world to the Les French Riviera, where more than 3,000 formu- from the brand’s Couture collection, Master- Classiques collection, which is made up of 50 las are housed. These are comprised of natural pieces collection, High Jewelry collections and scents that come in 15ml or 30ml flacons. Les ingredients painstakingly sought from around Les Classiques collection. As tribute to their Classiques was born from a challenge: to cre- the world by the brand’s perfumers. From heritage, the Henry Jacques boutiques offer ate an exquisite selection of perfumes to rep- the essences to the bottles, every aspect of a the brand’s bespoke perfume service. resent the perfumer’s extensive and diverse Henry Jacques creation is created in-house to body of olfactory work in a single collection. ensure that the quality of the brand’s offerings To create the exceptional scents contained The 50 unique fragrances act as a gateway are maintained at an exceptional level. in each bottle, Henry Jacques perfumers take for newcomers to the Henry Jacques uni- inspiration from a variety of sources, resulting verse. Each perfume is designed to enhance The perfume house has only recently in a dazzling concoction of notes and blends, the personality of the person who uses it. In expanded its exclusive distribution with the colors and textures, to delight even the most essence, the perfumer becomes a match- opening of a highly select number of retail discerning nose. maker between customers and the ideal life they seek. Mr Henry Jacques Cremona in the laboratory A Palette of Essences Fittingly for such an exclusive collection, Henry Jacques perfumes are created only with each fragrance is housed in a minimalist crystal the highest quality natural essences sourced bottle specially designed by the brand's Artis- from around the world, which are as varied as tic Director, Christophe Tollemer. Each Clas- the flowers from which they are extracted. This sique is presented in a varnished wood case wondrous palette of essences includes velvety embellished with gold leaf, opening to reveal rose, intoxicating tuberose, sunny lavender, a bottle resting on a silk cushion. sumptuous jasmine, soft, sensual, heady musk, and the subtle heat of marine ambergris. Like Henry Jacques is also working to revive the highly skilled alchemists turning metal into pleasure and satisfaction of assembling one’s gold, Henry Jacques perfumers then work own personal perfume collection; an art that rigorously in their laboratories to bring out is akin to building an elegant wardrobe. To this the quintessence of each of these premium end, the brand has come up with Caves à Par- ingredients. fums, a cabinet to hold crystal bottles from the Classiques de HJ line. Selecting perfumes from To ensure that their presentation accurately Henry Jacques wide range of fragrances has reflects the quality of the product within, added meaning as you piece together your the finished perfumes are bottled in intri- own mosaic of scents in this exquisite cabinet cately designed crystal flacons or customized available in two sizes: 10 x 15ml and 15 x 15ml.

PROMOTION Les Classiques Collection Les Toupies I Les Toupies II A Haven for the Senses tastes. “The entire boutique was conceived elegance. The perfumes are housed in and assembled in France, and reassembled in extraordinary crystal flacons that took more Henry Jacques has always been discreet about Singapore by our team. This long process was than three years to develop and represent a how it distributes its exclusive products, only the only way to guarantee uncompromised technical and artistic breakthrough for Henry setting up a retail presence as recently as 2014. French craftsmanship. Like our perfume, each Jacques perfumes. The decision to do so was accompanied by component is of rare quality,” says Tollemer. months of consideration and reflection over They are specially designed for those who how these boutiques could best reflect Henry Les Toupies: A Fairytale are passionate about art and historic French Jacques' brand values. Fragrance craftsmanship, with every detail meticulously crafted by Tollemer. He created a bottle that Tollemer led the creative process, designing One standout piece from Henry Jacques Mas- is both multifaceted and symmetrical, but each space as a haven to escape daily life; a terpieces collection is Les Toupies. This collec- with no central point. Despite their intricate place where customers can realize the most tion was creatively envisioned as part of a tale, design, these crystal marvels sturdily hold the idealized versions of themselves through the with each perfume representing a character precious nectars within. brand’s offerings. Each of the boutiques fea- in a love story. ture cabinets of curiosities, elegant design, The men’s flacon is slightly larger than comfortable furnishings and discrete service Les Toupies, which means Spinning Tops, that for the women, but the curves of each to reflect the Henry Jacques legacy. While the are made up of couples: two unique and appear to respond to each other in a reflec- perfume organ takes center stage, the collec- exclusive fragrances—one for men and one tion of their synergy. says Henry Jacques: “We tions themselves are hidden from sight, wait- for women. These creations are designed to imagined the Toupies collection as a great ing to be discovered. be timeless while showcasing a distinctive fresco, filled with myriads of stories and char- style all of their own. acters, like [Honoré de] Balzac’s 'The Human The Henry Jacques Singapore shop was Comedy.' One Toupie after the other, one its first stand-alone boutique. The space was The first two from the collection were “Mr. fragrance after the other, we wish to express inspired by the old-world charm and gran- H and Mrs. Y,” followed by the next couple, the immensity and fragility of life and its many deur of historic Parisian apartments, but given “No. 16 de HJ and No. 81 de HJ.” Each fra- romances.\" a twist of modernity to suit today’s consumer grance is inspired by French romance and

BY JONATHAN BURGOS Welcome to the inaugural Best Over A Billion list of the top-performing listed companies in the Asia-Pacific region with revenues of a $1 billion or more. This new list is meant to complement the long-established Best Under A Billion list of the 200 best-performing, small and midsized companies in the Asia-Pacific region with less than $1 billion in revenue. These two lists now comprehen- sively cover all of Asia-Pacific’s listed companies, selecting the best 400 from the smallest to the biggest, using $1 billion in sales as a divid- ing line. For continuity, the criteria developed for this list were similar to those used for the other one. In fact, some notable companies on Best Over A Billion have raised revenues above $1 billion and graduated to this list, such as Alibaba, Jollibee and Tencent. Another metric, highlighted on this list, was a connection between the companies and members of our Asia-Pacific rich lists. Many have noted the positive correlation in Asia between corporate performance and entrepreneurial involvement— after all, if your personal fortune is linked to that of a company, there’s motivation to ensure that company does well over the long-term. The result? Nearly about two-thirds of the companies on this list are controlled or connected to families or individuals who have appeared on Forbes Asia rich lists. SEPTEMBER 2019 FORBES ASIA | 29

Bubbling Up SMFB’s stock has more than tripled since July 2017. IN PHILIPPINE PESOS 120 238% 98.95 80 60 Tapping 40 Growth 20 San Miguel lured investors back to its beer and food businesses by July 2017 July 2018 July 2019 pouring both into a single stock. SOURCE: BLOOMBERG BY ROEL LANDINGIN Reservation Required One unexpected consequence of SMFB’s growth story is the popularity of its quarterly briefings for investors. With the once- sleepy stock now a hot item, the company sometimes doesn’t have enough space to accommodate all those who want to attend its stockholder meetings. Similar to securing a reservation at a trendy restaurant, investors have been allocated seats at these events. “I can only get two slots max,” notes MBG Capital’s Tan. SAN MIGUEL’S BILLIONAIRE PRESIDENT RAMON ANG To pull it off, Ang will need funding—200 billion pesos JINGGO MONTENEJO FOR FORBES ASIA ($3.8 billion), he estimates. Part will come from cash flow, turned 65 in January, an age when many think about slow- some will be borrowed. The rest will come from selling shares. ing down. Instead, Ang is busy orchestrating a massive expan- And that’s where what may have been just another value- sion planned as the biggest in the 129-year history of the Phil- crushing corporate mash-up may yet prove a master stroke, ippine conglomerate. Within five years, he aims to more than turning what was once an also-ran in the rapidly consolidating double the group’s production capacity, which in 2017 stood global beer industry, dominated by multinationals such as at 19 million hectoliters of beer and 2.6 million tonnes of feed. Anheuser-Busch InBev and Heineken, into a regional brand “Our target is to put up 10 new breweries with an initial ca- that’s a must-have for international fund managers. “The pacity of 2 million hectoliters each,” says Ang in a rare inter- bigger the company, the more people want in,” says Alvin Tan, view. “On our food expansion, we are on track to finish our a fund manager at MBG Capital in Manila. 12 brand-new feed mills of 500,000 annual tonne capacity per feed mill by 2023.” Agribusiness expert Rolando Dy at the SMFB also remains tightly controlled by its listed parent University of Asia and the Pacific in Manila sums up the plan San Miguel Corp, which holds an 89% stake in SMFB, where simply: “It’s unprecedented.” Ang is also president. The namesake San Miguel of both com- panies harks back to a brewery that was established in 1890 Details of the new plan were announced last June when the Philippines was still a Spanish colony. Over the next during a shareholders’ meeting. They come on the heels of 100 years, SMFB built a food conglomerate that today ac- a restructuring that Ang started in January 2018, when he counts for almost half of the company’s revenues; beer and merged San Miguel’s beer and liquor business into its listed non-alcoholic beverages represent 45% and liquor 8%. food unit, renaming the combined entity San Miguel Food and Beverage, or SMFB. The company’s market capitalization To be sure, Ang should emerge as one of the biggest win- jumped to $7 billion from just $2 billion on the move. By ners from this restructuring of the venerable San Miguel. Al- November, the company sold just under 7% of its shares in ready among the top ten wealthiest Filipinos with an estimat- a deal valuing SMFB at $10 billion, 35% higher than when ed net worth of $2.85 billion, his fortune is tied closely to the the merger was announced. So far this year, SMFB stock has value of San Miguel Corp., where he is one of the largest share- climbed more than 20% to about 100 Philippine pesos, after holders. He acquired most of his San Miguel shares back in languishing for most of this decade at below 50 pesos. 2012 from his close business associate Eduardo Cojuangco, Jr., 30 | FORBES ASIA SEPTEMBER 2019

A beer drinker himself, Ang pushed to develop low-calorie, flavored and premium beers that would revive San Miguel’s appeal with younger consumers.

who is CEO of San Miguel Corp. and has a net worth of $1.4 Get Your Motor Running JINGGO MONTENEJO FOR FORBES ASIA billion. San Miguel Corp.’s stock has traced a similar path to that of SMFB, up around 20% in the year to date. Ang, a mechanical engineer, has a passion for collecting vintage cars and big motorbikes. He’s especially fond of German BMW Ang joined the firm as vice chairman in 1999 after running cars and motorbikes. Last July, he gave the keynote address at the the privately held companies held by Cojuangco. Beer sales in official launch event for BMW’s M5 sports car in Manila (San Miguel the late 1990s were so dismal that, as Ang recalls, some man- owns the license to sell BMW in the country). In addition, late last agers considered shifting from beer to wine. “That’s what we year the dealership for BMW was renamed from Autohaus BMW to were talking about in the board,” he says. RSA Motors Corp—the RSA reportedly standing for the initials of Ramon S. Ang. In early 2002, San Miguel got a lifeline from Japanese brewer Kirin, which paid $540 million for a 15% stake in the which could bolster the country’s attraction as a travel desti- company. Ang became the company’s president and COO. nation and be a major money-spinner. Aside from the reve- He began using the Japanese cash to go on a foreign shopping nues of the airport itself, there are plenty of potential ancillary spree, buying Australia’s leading dairy producer National income streams from retail, logistics, support services, fuel Foods, juice maker Berri and Singapore-based ice cream supplies and hospitality. maker King’s Creameries. With the onset of the global finan- cial crisis in 2007, however, Ang reversed course and began But by swapping its 51% stake in beer unit San Miguel selling off San Miguel’s overseas acquisitions to refocus on Brewery and 78% interest in distillery Ginebra for the 89% the market back home. A beer drinker himself, Ang pushed to stake in SMFB, San Miguel not only created an entity with develop low-calorie, flavored and premium beers that would double the revenue of its former food-only unit, but put SMFB revive San Miguel’s appeal with younger consumers. on the radar screens of foreign fund managers looking for a play on the rising consumer demand. The country also has the To address a similar downturn in San Miguel’s meat busi- benefit of the demographics—while many developed coun- ness, Ang moved to introduce higher-margin chicken nug- tries have aging populations, an overwhelming majority of gets as well as sliced and marinated meat to the company’s Filipinos are below the age of 40. existing fresh meat offerings. “The name of the game is low- cost, high-quality value-added products sold directly to the SMFB’s larger market capitalization has made it one of consumer,” says Ang. Southeast Asia’s biggest food companies. And the November sale of shares lifted SMFB’s public float to 11%, above the min- Ang’s investment in new production comes amid a sharp imum required by many big global funds. “That’s the time that pickup in food and beverage sales. After growing just 0.2% a [large institutional investors] came in because it complied with year between 2004 and 2015 because of higher taxes and vola- their checklists,” says Tan. Among the big funds that have been tile economic growth, per-capita beer consumption in the Phil- lured to SMFB’s shares since the merger are BlackRock, State ippines surged almost 11% annually between 2016 and 2018. Street and Vanguard, as well as Norway’s sovereign wealth fund. In 2018, SMFB’s net profit rose 8% to 30.5 billion pesos on Asked how he finds the time to plan new airports and a 14% increase in revenue to 286 billion pesos, the same year railways while keeping track of San Miguel’s chicken sales in Ang was appointed president and CEO of the company. Ang supermarkets, Ang replies, “We are more hands-on and we says his expansion plan will double revenue to 500 billion spend more time in the office. On average, all of us spend pesos in five years. The new facilities will be closer to growing 10 hours a day in the office, Monday to Saturday.” F markets, which analysts say stands to slash logistics costs and boost margins. These greater efficiencies haven’t materialized yet, though: while SMFB’s return on equity of 25% bests its pre-merger re- turn of roughly 15%, margins fell last year and again in the first half of 2019; Ang blames rising imports for hitting prices for its poultry products. And even if he manages to double revenue, SMFB’s contribution to the parent San Miguel Corp. isn’t likely to beat rapid expansion at San Miguel’s other businesses. Parent San Miguel’s fuel sales last year, for example, rose 28% while revenue at its power business climbed 45%. San Miguel is half-finished building a 23km light rail system that Ang says will account for 5% of group revenues when it is completed in 2022. And it’s set to break ground on a new air- port north of Manila next year with triple the capacity of the capital’s decrepit, existing airport—a long overdue move 32 | FORBES ASIA SEPTEMBER 2019

C O U N T R Y/ T E R R I T O R Y SALES NET MARKET BY JONATHAN BURGOS ($B) INCOME VALUE AUSTRALIA ($M) METHODOLOGY A.P. Eagers Retail 3.1 ($M) 1,353 The search started with a pool AGL Energy Electric 9.9 74 8,835 of 3,200 listed companies in the Automotive Holdings Group Retail 5.0 659 Asia-Pacific region with $1 bil- 1,230 lion or more in revenue in their Bluescope Steel Steelmaker 8.9 25 4,058 latest financial year. Unprofitable Cochlear Healthcare 1.1 8,251 companies and those whose Computershare Computers 2.3 1,216 sales declined in the past five CSL Biotechnology 7.9 191 5,449 years were then eliminated. Next Evolution Mining Mining 1.2 66,810 off the list were companies car- Goodman Group Real Estate 1.2 300 6,150 rying long-term debt equal to Harvey Norman Holdings Retail 1.5 1,729 17,973 or greater than half their capital JB Hi-Fi Retail 5.3 204 3,290 and those with glaring gover- Lendlease Group Engineering & construction 12.8 851 2,142 nance or legal problems. Mirvac Group Real estate 1.7 291 5,271 Orora Packaging 3.3 181 8,437 Lastly, contenders were Reece Retail 2.1 615 2,625 ranked by a battery of more than Seek Internet 1.0 844 3,872 a dozen metrics, including aver- Stockland Real estate 2.2 165 4,545 age five-year sales, operating TPG Telecom Telecommunications 1.9 174 7,276 income growth, return on capital, Treasury Wine Estates Beverages 1.9 4,168 and projected growth over the Vicinity Centres Real estate 1.0 41 8,020 next one to two years. Those Viva Energy Group Energy 12.3 795 6,403 having the highest composite CHINA 306 2,999 score earned a place in the final Aier Eye Hospital Group Healthcare 279 list of 200. Alibaba Group Holding Internet 945 Anhui Gujing Distillery Beverages 433 Our goal is to find the re- China TransInfo Technology Computers gion’s best-run outfits that are Foshan Haitian Flavouring & Food Food 1.2 153 13,135 doing well on not just one metric Guangdong Haid Group Agriculture 56.2 13,098 409,880 but across many of them. While Guangzhou Shiyuan Electronic Technology Electronics companies from China, Japan Haidilao International Restaurants 1.1 256 7,058 and South Korea naturally domi- LONGi Green Energy Technology Energy 1.1 115 3,110 nated the list due to the larger Luxshare Precision Industry Electronics 2.5 660 37,559 candidate pool, many came from Midea Real Estate Holding Real estate 6.4 217 6,848 smaller markets such as Indone- Ronshine China Holdings Real estate 2.6 152 6,795 sia, Malaysia and Vietnam. The Shanghai M&G Stationery Retail 2.6 249 20,548 final result is a list that repre- 3.3 387 12,580 sents the best of Asia-Pacific’s 5.4 412 15,548 big companies. 4.6 486 2,952 5.2 350 2,131 Data as of July 31, 2019, based on GAAP. 1.3 122 5,073 Sources: FactSet, Bloomberg, Forbes Controlled by or connected to families or individuals who have appeared on Forbes Asia rich lists. SEPTEMBER 2019 FORBES ASIA | 33

CHINA C O U N T R Y/ T E R R I T O R Y SALES NET MARKET IMAGINE CHINA/NEWSCOM ($B) INCOME VALUE Tongwei Shanxi Meijin Energy Electronics 2.2 ($M) STO Express Transportation 2.6 ($M) 5,011 Although China slashed subsidies for solar 3.1 272 5,193 projects last year, solar cell maker Tongwei Sunwoda Electronic Electronics 47.3 310 2,605 Tencent Holdings Internet 4.1 106 412,613 still managed to boost sales by winning Tongwei Agriculture 8.7 11,910 7,290 contracts from clients overseas. The Wens Foodstuff Group Agriculture 305 31,521 company’s revenue rose 5% in 2018 to Wuhu Sanqi Interactive Entertainment Network 1.1 599 4,152 Technology Software 153 27 billion yuan ($4 billion) compared to Zhejiang Supor Houseware 2.7 7,750 the previous year. Tongwei, which also HONG KONG 253 makes animal feed, plans to increase its AIA Group Insurance 32.4 118,401 capacity to produce solar-powered bat- CK Asset Real estate 6.4 2,597 25,153 teries to 20 gigawatts by the end of the CK Hutchison Diversified 35.4 5,119 33,294 year, up from 12 gigawatts. While the feed Great Eagle Real estate 1.3 4,976 2,669 business was hit by China’s epidemic of Hang Seng Bank Financial services 8.4 741 42,181 African swine fever, the company says Hong Kong & China Gas Energy 5.0 3,089 36,306 demand for fish food remains strong and Johnson Electric Electronics 3.3 1,202 1,492 has helped boost first half profits by 58%. Kerry Logistics Network Transportation 4.9 281 2,825 Kingboard Holdings Chemicals 5.9 311 2,409 —Yue Wang Lee & Man Paper Manufacturing Packaging 4.1 775 2,296 New World Development Real estate 7.8 623 12,558 CHINA Nine Dragons Paper Paper 8.1 3,051 3,429 NWS Holdings Engineering & construction 4.5 1,207 6,903 STO Express S.A.S. Dragon Electronics 3.2 776 Sino Biopharmaceutical Pharmaceuticals 3.2 40 188 The rise of online shopping has given a Sino Land Real estate 1.4 1,369 14,866 boost to China’s parcel delivery industry. In Sun Hung Kai Properties Real estate 10.9 1,789 9,928 August, logistics firm STO Express signed Swire Pacific Diversified 10.8 6,406 41,317 a $1.4 billion deal with Alibaba that gave it VSTECS Holdings Software 8.0 3,015 14,563 an option, valid for three years, to buy an Wheelock & Co. Real Estate 6.2 95 additional 31% of STO. Alibaba bought its Xinyi Glass Building materials 2.0 2,200 723 current 15% share for $693 million in March INDIA 541 11,848 Adani Ports & Special Economic Zone Commercial services 1.6 3,873 to cut its logistics costs. The first courier Ambuja Cements Building materials 3.8 571 service in China to go public in 2015, Asian Paints Chemicals 2.7 319 10,919 Avenue Supermarts Food 2.9 309 5,740 STO has a 10% share of China’s express- Britannia Industries Food 1.6 129 21,110 delivery market. The Shenzhen-listed Federal Bank Financial services 1.9 166 12,557 Future Retail Retail 2.9 188 8,613 company’s net profit rose 38% in 2018 to Grasim Industries Building materials 10.4 105 2,435 2.1 billion yuan ($310 million) on a 35% HCL Technologies Software 8.6 254 2,909 Housing Development Finance Corp Financial services 13.7 1,441 6,850 jump in revenues. —Pamela Ambler IndusInd Bank Financial services 4.0 2,322 19,655 Infosys Computers 11.8 472 52,852 34 | FORBES ASIA SEPTEMBER 2019 2,204 13,957 47,840 Controlled by or connected to families or individuals who have appeared on Forbes Asia rich lists.

Rubik’s Cube® used by permission Rubik’s Brand Ltd.

C O U N T R Y/ T E R R I T O R Y SALES NET MARKET ($B) INCOME VALUE JSW Steel Steelmaker 11.8 ($M) Marico Consumer goods 1.0 ($M) Pidilite Industries Manufacturing 1.0 7,247 Piramal Enterprises Financial services 1.9 1,093 Shree Cement Building materials 1.8 6,893 Sundaram-Clayton Auto parts 160 Titan Retail 3.1 9,243 INDONESIA 2.8 132 Adaro Energy Mining 4,775 Bank Central Asia Financial services 211 Bayan Resources Mining 9,896 Chandra Asri Petrochemical Chemicals 144 Gudang Garam Tobacco 599 Indah Kiat Pulp & Paper Paper 62 Indofood Sukses Makmur Food 12,909 Japfa Ltd. Food 201 Kalbe Farma Pharmaceuticals INDIA Mayora Indah Food 3.6 418 2,486 Sumber Alfaria Trijaya Retail 5.3 1,818 52,116 Titan JAPAN 1.7 500 4,010 Advantest Semiconductors 2.5 182 8,656 Jewelry and watch retailer Titan’s net Bandai Namco Entertainment 6.7 548 9,907 profit surged 26% to 13.9 billion rupees Chugai Pharmaceutical Pharmaceuticals 3.3 588 2,569 ($201 million) for the year ended March 31 CyberAgent Internet 5.2 293 4,534 on rising demand among Indian consum- Daifuku Machinery 3.5 100 660 ers for gold. But record-high prices for Disco Tools 1.5 173 4,715 the precious metal and weaker consumer Fast Retailing Retail 1.7 121 3,853 sentiment will pose headwinds this year. Keyence Machinery 4.7 46 2,687 Titan will also see a changing of the guard M3 Internet in October when jewelry business head Nintendo Entertainment 2.5 524 7,689 JIAN FAN/GETTY IMAGES C.K. Venkataraman takes over as manag- Nippon Paint Chemicals 6.6 572 12,449 ing director from Bhaskar Bhat, who is due Nippon Shinyaku Pharmaceuticals 5.3 838 39,654 Open House Real estate 3.8 44 5,192 to retire after 17 years at the helm. Persol Holdings Commercial services 4.1 357 6,266 —Anuradha Raghunathan Recruit Holdings Commercial services 1.3 260 6,342 Relo Group Real estate 19.3 1,403 63,187 JAPAN Shiseido Cosmetics 5.3 2,043 70,001 Tokyo Electron Semiconductors 1.0 177 13,897 Advantest Welcia Retail 10.8 1,750 48,540 Yaskawa Electric Machinery 5.7 411 13,640 This Tokyo-based producer of semicon- ZOZO Internet 1.0 147 5,275 ductor production and testing equipment M A L AY S I A 3.5 288 2,520 Batu Kawan Chemicals 8.4 220 5,962 is benefitting from a growing need to Hap Seng Consolidated Agriculture 20.8 1,572 57,718 test chips to power 5G smartphones and IHH Healthcare Healthcare 2.3 117 4,063 AI applications. Advantest tripled its net 9.9 556 26,752 11.5 2,239 28,245 profit in the year ended March 31 to 7.1 158 5,109 57 billion yen ($524 million) as revenue 4.3 373 8,231 climbed 36% to a record 282 billion yen. 1.1 144 5,847 Investors appear so confident in the 5G trend that they’re shrugging off company 4.7 115 1,519 forecasts for slower orders this year amid 1.5 284 5,796 2.9 156 12,046 the escalating China-U.S. trade war: Advantest shares are trading near a Controlled by or connected to families or individuals who have appeared on Forbes Asia rich lists. 12-year high after rallying 97% this year. —James Simms 36 | FORBES ASIA SEPTEMBER 2019

C O U N T R Y/ T E R R I T O R Y SALES NET MARKET ($B) INCOME VALUE Kuala Lumpur Kepong Agriculture ($M) Press Metal Aluminium Mining 4.6 ($M) Public Bank Financial services 6,001 PHILIPPINES 2.3 187 Ayala Corp Real estate, financial services 4,528 Cosco Capital Retail 5.1 153 GT Capital Auto manufacturer 19,724 JG Summit Food, airlines 1,386 Jollibee Foods Retail Megaworld Real estate 5.2 604 11,171 San Miguel Food and Beverage Food and beverages SM Investments Corp Retail, real estate 3.2 105 942 SINGAPORE ASM Pacific Technology Semiconductors 3.8 254 3,743 CapitaLand Real estate City Developments Lodging 5.3 364 9,037 DBS Group Financial services Olam International Food 3.1 158 4,829 Oversea-Chinese Banking Corp Financial services United Overseas Bank Financial services 1.0 289 3,765 Venture Corp Electronics Wilmar International Food 5.4 346 11,861 SOUTH KOREA AK Holdings Chemicals 8.0 704 22,796 JAPAN Amorepacific Cosmetics Cheil Worldwide Advertising 2.5 283 4,359 Recruit Holdings CJ CheilJedang Food 4.2 1,307 12,638 Daelim Industrial Engineering & construction 3.1 413 5,980 Japan’s biggest employment search and GS Retail Retail 13.7 4,135 46,333 recruiting company by market value post- Hanon Systems Auto parts 22.6 258 4,538 ed its third consecutive year of increased Hanwha Aerospace Aerospace 11.0 3,331 34,557 Hotel Shilla Retail 10.4 2,972 31,275 earnings as more people used Recruit’s Hyundai Glovis Transportation 2.6 274 3,027 websites to look for everything from jobs Kakao Internet 44.5 1,128 18,224 to apartments and even haircuts. Its net Korea Zinc Mining profit rose nearly 15% in the year to March RECRUIT HOLDINGS: SHOKO TAKAYASU/BLOOMBERG LG Household & Health Care Cosmetics 3.4 97 385 Meritz Fire & Marine Insurance Insurance 4.8 302 5,922 31, to 174 billion yen ($1.6 billion) on Mirae Asset Daewoo Financial services 3.2 118 2,435 2.3 trillion yen in revenue. Recruit expects Naver Internet 17.0 796 3,298 its current fiscal year to be even better. It NCSoft Internet 10.0 588 2,740 has been expanding overseas with acquisi- Netmarble Software 7.9 110 2,451 tions, including last year’s $1.2 billion pur- Samsung SDS Computers 5.4 252 5,100 chase of U.S.-based employer-review and SK Hynix Semiconductors 4.0 29 1,221 job-search site Glassdoor. —James Simms Taeyoung Engineering & Construction Construction 4.3 100 2,415 15.3 398 4,664 SOUTH KOREA 2.2 44 8,491 6.3 480 6,613 Naver 6.1 621 14,934 6.7 213 1,755 The South Korean search and internet ser- 3.2 415 3,784 vices company has pursued new sources 5.1 590 18,664 of growth in recent years by expanding 1.6 380 9,236 into new business lines. IT services includ- 1.8 172 6,254 ing e-payments and cloud services were 9.1 572 12,427 the fastest-growing segments, expand- 36.8 14,129 43,949 ing by over 60% and contributing to the 3.5 172 796 company’s nearly 20% increase—to 5.6 trillion won ($5 billion)—in 2018 revenues. Naver is best known outside Korea for LINE, a messaging app that’s big in Japan, and SNOW, a Snapchat-like app which in 2018 received $50 million in funding from SoftBank and Sequoia China. —Luke Kelly SEPTEMBER 2019 FORBES ASIA | 37

VIETNAM C O U N T R Y/ T E R R I T O R Y SALES NET MARKET ($B) INCOME VALUE Vietjet TA I WA N 1.6 ($M) Advantech Computers 3.2 ($M) 5,731 This Ho Chi Minh-based budget carrier Catcher Technology Metal works 209 5,043 has proved a force to be reckoned with, Chailease Financial services 1.7 928 5,233 becoming Vietnam’s biggest airline in just Delta Electronics Electronics 7.9 444 12,340 8 years. Vietjet Aviation (its full name) E.Sun Financial Financial services 2.3 604 9,212 Feng Tay Enterprise Apparel 2.1 566 4,739 transported 23 million passengers in FIT Hon Teng Electronics 4.0 175 2,669 2018, giving it a 46% share of Vietnam’s GlobalWafers Semiconductors 2.0 234 4,071 booming air travel market, surpassing Hotai Motor Retail 6.1 452 7,454 Kinpo Electronics Office equipment 4.4 333 flag carrier Vietnam Air. Vietjet’s net Largan Precision Manufacturing 1.7 18 471 profit rose 5.3% to 5.3 trillion dong MediaTek Semiconductors 7.9 809 16,154 ($232 million) in 2018 as revenue climbed Micro-Star International Electronics 3.9 689 16,042 27% to 54 trillion dong. Vietjet expects to Nanya Technology Semiconductors 2.8 201 2,301 grow even faster this year, projecting that Realtek Semiconductor Semiconductors 1.5 1,306 6,773 it will carry 30 million passengers as it Supreme Electronics Electronics 4.7 144 3,302 adds more international destinations. Taiwan Semiconductor Manufacturing Co. Semiconductors 34.2 48 333 Wistron Corp Computers 29.5 11,654 204,345 —Lan Anh Nguyen WT Microelectronics Electronics 9.1 163 2,014 Yageo Corp Electronics 2.6 92 740 VIETNAM Yuanta Financial Holding Financial services 4.1 1,123 3,400 THAILAND 620 6,313 Vingroup Bangkok Bank Financial services 5.2 Bank of Ayudhya Financial services 4.4 1,094 10,626 VIETJET: EHRIN MACKSEY, VINGROUP: YEN DUONG/BLOOMBERG The property to retail conglomerate Berli Jucker Food 4.8 768 8,834 continues to diversify. After rolling out the BTS Group Transportation 1.4 206 6,598 first automobiles in June from its factory, Central Pattana Real estate 1.0 89 5,176 Charoen Pokphand Food 16.8 347 10,051 Vingroup is already looking to launch Home Product Center Retail 1.9 481 7,616 its next venture: an airline to cash in on Indorama Ventures Chemicals 10.7 174 7,299 the country’s booming travel market. Kasikornbank Financial services 6.0 819 6,971 Land & Houses Real estate 1.1 1,190 13,011 Diversification is a drag on earnings, PTG Energy Retail 3.3 324 4,344 though. Vingroup’s net profit dropped Siam Makro Retail 5.9 19 1,062 15% to 3.8 trillion dong ($164 million) in Thai Union Food 4.1 184 5,842 2018 as it ramped up investments in its car True Corp Telecommunications 5.0 101 2,896 business. Revenue rose 36% to 122 trillion VIETNAM 218 6,823 dong. Vietnam’s first billionaire Pham Nhat Masan Group Diversified 1.7 Vuong, who made his initial fortune selling Mobile World Investment Retail 3.8 214 3,766 instant food products in Ukraine, founded Saigon Beer Alcohol Beverage Beverages 1.6 125 2,174 Vingroup when he returned home in 2001 Vietjet Aviation Airlines 2.3 181 7,734 Vietnam Dairy Products Food 2.3 232 3,054 and started developing properties. TechComm Bank Financial services 1.3 444 9,076 —Lan Anh Nguyen Vingroup Diversified 5.3 368 3,027 164 17,006 38 | FORBES ASIA SEPTEMBER 2019 Controlled by or connected to families or individuals who have appeared on Forbes Asia rich lists.

PROMOTION ASIA INNOVATIF+ LEADING NEXT GENS TOWARD INNOVATION The inaugural Asia Innovatif+ Summit & Awards event in October will gather leaders, investors and startup owners on the island state of Penang, Malaysia, to talk about the new economy. In the digital economy, the challenge for the “There is a bit of something for everyone next generation of leaders (Next Gen) in trad- attending the summit. Next Gens will get itional family businesses is to innovate or risk the chance to hear success stories first-hand being upended by new market disruptions. from those who have successfully trans- The Asia Innovatif+ Summit & Awards, formed their businesses. They will also get which will be held October 26–27, is aimed new ideas on how to incorporate innova- at “promoting innovation through global tion into their family businesses and how collaboration by bringing together Next Gen to leverage on startup ventures. VCs will get leaders, startup owners and venture capital- the chance to tap into the Next Gen network ists from across the region under one roof,” and resources, and at the same time discover says Mei Tan, Co-founder of Asia Innovative new startup ideas. Last but not least, startup Agency, the event organizer. owners will get exposure and may poten- “The movie ‘Crazy Rich Asians’ may be fic- tially find the right match for their future tion but there is some truth to family offices growth,” explains Tan. holding enormous wealth in this region, and The summit will feature a star-studded cast many are prepared to embrace innovation or of Next Gen leaders coming from compa- invest in startups,” she says. nies such as BookDoc in Malaysia, MaBelle in Tan herself is no stranger to innovation. Hong Kong and PT Citra Marga in Indonesia, After an eight-year stint in the U.S.—first as a among others. Topics discussed will range student and later as a graphic designer—she from real estate, manufacturing, agriculture returned to Penang in 2010 to join the fam- and retail to artificial intelligence, fintech and ily business, Asia Green Group, an established B2B innovations. Startup owners will get the property developer, plywood manufacturer chance to present their business case and vie Asia Innovative Agency’s Co-founder, Mei Tan and international trading company. As the for the “Startup of the Year Award.” Heritage status and hailed as the “Silicon Val- ley of the East” by international media. company’s COO, Tan began to introduce Keynote speakers during the event include “With this event, we hope to create a bet- innovative technology in the workplace. On Penang’s Chief Minister Chow Kon Yeow ter ecosystem linking Next Gens with startup entrepreneurs. We also hope that all the the side, she launched a co-working space and Dato’ Seri Anwar Ibrahim, President of participants will better understand innova- tion and be prepared to create disruptions called Scoopoint to foster creativity within a the People’s Justice Party and leader of the in their respective industries. Who knows, the next Airbnb or Uber could arise out of this community of like-minded people. The Asia Pakatan Harapan coalition. Joining the lineup event to revolutionize old business models,” says Tan. Q Innovatif+ Summit & Awards event is her lat- will be speakers from China, Indonesia, est initiative, working with Co-founder, Steve Singapore, Thailand, Vietnam, Germany and Wee and the Penang state government to the U.S., besides Malaysia. promote innovation in the digital economy. One of the event highlights is a panel discussion by Next Gen leaders who will share their views on challenges faced by family-owned busi- nesses. Fringe activities during the event include industry visits, sightseeing and networking sessions. Besides Next Gen lead- ers, venture capitalists and startup owners, the event is expected to attract entre- preneurs and C-level execu- tives from 18 countries to the island state of Penang, Setia Spice Convention Centre in Penang, famous as a tourist desti- venue of the Asia Innovatif+ event nation with Unesco World

ENTREPRENEURS GAYATRI GANJU FOR FORBES ASIA Doing the Math Former whiz kid Byju Raveendran turned his knack for numbers into a $5.5 billion education technology giant. BY ANURADHA RAGHUNATHAN 40 | FORBES ASIA SEPTEMBER 2019

Byju Raveendran got the first inkling he might have a by Byju’s to more than $1 billion, following a $31 million future in education as a teenager tutoring 11th and investment in March led by U.S. private equity firm General 12th graders clamoring for his help to pass their Atlantic and China’s Tencent, and $540 million last December exams. Back then, he was just an 8th grade math from South Africa’s Naspers and the Canada Pension Plan whiz. Today, he’s a billionaire. Investment Board. In 2006, Raveendran launched what has turned into the Raveendran, 38, is the son of teachers. After earning a world’s most valuable education technology business, Byju’s. bachelor’s degree in mechanical engineering in Kerala, India, From its start offering test-prep classes, Byju’s has become he took a job in Singapore in 2001 as a globetrotting engineer the rage among students across India, enrolling 35 million to at a shipping company. During trips back home, he helped its math and science tutoring app. In July, it received fund- friends prepare for the ultra-competitive admission test for ing from a group of investors that included Qatar’s sovereign India’s elite business schools, the Indian Institutes of Manage- wealth fund and valued it at $5.5 billion—and Raveendran ment. Just for fun, he took the exam twice himself, scoring in has a 26% stake in the company. the top 1% each time. “This is not a business which I started as a business,” says In 2005, Raveendran quit his job and returned to India to Raveendran, who plans to use his new funding to expand his teach business-school applicants full-time. Within six weeks, $200 million (sales) company into Australia, the U.K. and he had 1,200 students. He soon started traveling to nine cit- the U.S. “It’s a passion which ended up becoming a business.” ies. But by 2009 he started broadcasting lessons via satellite. His timing appears ripe: the global education technology, Raveendran soon realized that his aspiring business-school or edtech, industry will grow 61% from $349 billion in 2018 students were struggling with math and science that they to $562 billion by 2022, according to U.K.-based market-re- should have learned at a much earlier age. To help redress search firm Technavio. The latest $150 million infusion led by that gap, in 2011 he launched Think & Learn, the company Qatar Investment Authority brings the total funding received that is Byju’s parent. LEARNING Total raised in $ million “The first thing that struck me about Byju was that he CURVE was passionate about teaching,” says Ranjan Pai, the billion- 1,046 aire doctor who controls the education and healthcare fo- Byju’s has raised more cused Manipal Group. “But when he asked me for $8 million, money than any other 825 I nearly fell off my chair.” Impressed by Raveendran’s confi- edtech startup. dence, Pai obliged him and in 2012 became one of Byju’s first 585 two investors, buying a 26% stake alongside a former soft- SOURCE: HOLONIQ 575 ware executive. He still retains 1% of Byju’s. 544 1. BYJU’S (India) 500 India appears fertile ground for edtech: the country has 456 260 million school-age children struggling through a system Valuation: $5.5B 429 rife with poorly qualified teachers in an increasingly tech- 315 savvy economy starving for skilled workers. “You have here 2. VIPKID (China) 313 a proliferation of smartphones, almost-free bandwidth, ubiq- uitous internet access and ease of digital payments,” says Valuation: $3B Krishnan Ganesh, who cofounded the online education com- pany TutorVista in 2005, then sold it to U.K.-based Pearson 3. 17ZHOUYE (China) in 2011, before Byju’s bought part of it from Pearson in 2017. “And you have parents who will spend a disproportionate Valuation: $2.5B amount of their disposable income on education.” 4. ZHOUYEBANG (China) In 2015, Byju’s released its first app, a math and science tutor for 6th to 12th graders and followed it up two years Valuation: $2.5B later with one for 4th and 5th graders. In addition to pro- viding video lessons, the app gauges whether the student 5. YUANFUDAO (China) has understood the concepts. Based on the response, the app takes the student either to the next level or back to ba- Valuation: $2.5B sics. “This is what teachers can never do,” says Raveendran. “They’re unable to assess how much each student has really 6. ZHANGMEN (China) understood any topic.” Valuation: $2.5B Within three months of launching, the app had been downloaded two million times. Today, Byju’s has enrolled 7. ZHIHU (China) 35 million students, with 2.4 million paying between $150 to $200 each for an annual subscription. Byju’s $200 million Valuation: $2.5B SEPTEMBER 2019 FORBES ASIA | 41 8. DADA (China) Valuation: $1.5B 9. COURSERA (U.S.) Valuation: $1.1B 10. ITUTORGROUP (China) Valuation: $1B

ENTREPRENEURS Byju is now the fourth most-highly 2016, Byju’s landed $50 million for an undisclosed stake valued startup in India, after from a group that included U.S. venture capital firm Sequoia mobile payments and e-commerce Capital and Mark Zuckerberg and wife Priscilla Chan’s firm Paytm, hotel operator Oyo Chan-Zuckerberg Initiative, marking that fund’s first invest- and ride-hailing app Ola. ment in Asia. In 2017, China’s Tencent invested $40 million on its own. Byju’s is now the fourth most-highly valued start- in annual sales is still tiny compared to the $3.9 billion at up in India, after mobile payments and e-commerce firm Japan’s Benesse Holdings, Asia’s largest listed education com- Paytm, hotel operator Oyo and ride-hailing app Ola, after pany. Yet it’s already profitable—earning more than $2 mil- the latest Qatar-led investment round. lion in its latest fiscal year—and growing fast. Spurred on by a recent focus on students in smaller cities, Byju’s expects Raveendran hopes to stay ahead of the competition by revenue for the year ending next March to more than double broadening his product offering and expanding into new to $440 million. markets. This year, Byju’s plans to add English and social sciences to its curriculum. And in January, Raveendran paid Byju’s inevitably faces a proliferation of challengers, in- $120 million to buy Osmo, a U.S. maker of education games. cluding Vedantu, which is backed by China’s TAL Education In June, he launched a cobranded app with Disney called the Group and offers live, one-on-one tutoring, as well as Toppr, Disney Byju’s Early Learn app, aimed at India’s 5 to 8-year which provides online test preparation. And while China’s olds. “We’ll be expanding with more products, more grades own edtech players—such as VIPKid—are not direct rivals, and more markets,” he says. they compete for the same investment pool. Byju’s is already working to widen its youth appeal: In So far, Byju’s has grabbed the largest chunk of money. In Bangalore, a team of 1,100 animators, gamers, developers and teachers are developing lessons for tech-savvy 3 to 8-year- olds that feature Peppa Pig, the hit British cartoon. “They have some X factor which kids like,” says Raveendran. F Byju Raveendran’s wife Divya Gokulnath, 33, is cofounder and a director on Byju’s board. GAYATRI GANJU FOR FORBES ASIA 42 | FORBES ASIA SEPTEMBER 2019

PROMOTION ICBC: LEADING THE WAY IN PRIVATE BANKING IN CHINA Over the past decade, ICBC Private Banking has developed a wide range of services and industry expertise to meet the increasingly complex needs of its clients. and artificial intelligence to improve efficiency and customer service. For instance, it offers an AI-advisor service that helps financial advisors quickly pro- vide clients with investment portfolio and asset allocation strategies. Meanwhile, ICBC’s various online and mobile services platforms help to deepen and improve the interaction between HNWI clients and the bank, promoting security and efficiency in the process. ICBC Private Banking’s headquarters in Shanghai Committed to Philanthropy Industrial and Commercial Bank of China sub-branches in more than 20 countries Throughout its growth journey, ICBC Limited (ICBC) has grown its private and regions, forming a global network in Private Banking has been committed to banking business over the past decade Asia, Europe, North and South America giving back to the less privileged in the to become one of the leading players as well as in Australia and New Zealand. community. Last year, for instance, it col- in China, with an expanding presence laborated with clients to promote better abroad. Headquartered on the banks Exclusive and Integrated Services living conditions for children in remote of Shanghai’s historical Huangpu River, regions. Together with professional char- ICBC became the first financial institu- As part of a global banking group, ICBC itable foundations, ICBC Private Banking tion to be granted a license specializing Private Banking is able to leverage on raised money to donate water heaters to in the private banking business by the the integrated resources of the entire nearly 50 primary and secondary schools China Banking Regulatory Commission bank—from investment banking and cor- in Sichuan province. in 2008. porate finance to credit cards and insur- ance—to offer a holistic service and bet- Grooming Talent Since then, the bank’s private banking ter meet the increasingly complex needs team has developed assets under man- of its clients. Over the years, ICBC Private Banking has agement (AUM) to more than RMB 1 tril- built a team of professional talent with lion (US$145.05 billion) as it capitalized Internally, ICBC Private Banking con- the necessary knowledge and skill sets on the country’s rapidly growing wealth tinues to build its brand by adding new to serve the high-net-worth segment in in that period. exclusive services, such as concierge ser- China. To achieve this, it has put in place vices and emergency assistance, that are a training system that caters to different As of the end of June, ICBC Private designed to serve its clients’ needs in a levels of expertise. The system is made Banking’s AUM stands at 1.6 trillion RMB wide range of areas, including health- up of various components—including (US$232.08 billion). It serves more than care, education and business travel. online classes, remote learning plat- 90,000 high-net-worth clients and 400 forms, case studies and overseas train- service institutions, covering main cities Embracing a Digital Strategy ing opportunities—to help its people and regions in mainland China. Interna- develop transferrable skills. tionally, the private bank has established ICBC Private Banking is also investing in fintech solutions such as big data Leveraging both internal and exter- nal resources, ICBC Private Banking will continue to develop its services plat- forms across markets, institutions and products, and provide its clients with exclusive services with integrity, profes- sionalism and passion. PrivateBanking/default.htm

Joel Myers, founder and CEO of AccuWeather. “We did big data before it was big data and AI before it was called that.” 44 | FORBES ASIA SEPTEMBER 2019

JAMEL TOPPIN FOR FORBES ×××××××× ×××××××××××× ××××××××××××× ×××××××××× CLOUD WARS A bevy of innovative startups are leveraging low-cost sensors, cheap processing power, AI and advances in machine learning to revolutionize how we predict and model the weather. Businesses ranging from auto-racing to agriculture stand to benefit while aging stalwarts like AccuWeather have the most to lose. BY SUSAN ADAMS SEPTEMBER 2019 FORBES ASIA | 45

ENTREPRENEURS “Nasty.” That is the professional opinion of Joel Myers, the CEO of word in the day’s New York forecast. “I’m always looking for AccuWeather, about the weather on Mother’s Day in New ways to make the information we communicate better and York City, as rain pelts the pavement nonstop and tempera- more accurate,” he says. tures drop below 5 degrees. From the corner of 50th Street and 3rd Avenue, he shoots a text to company headquarters Wiry and fit at 79 with a full head of dyed brown hair, in State College, Pennsylvania, suggesting employees use the Myers runs America’s oldest independent private weath- er forecasting company. He founded it in 1962 while study- AccuWeather ing for his master’s in meteorology at Penn State University. His first client, a local gas company, paid him $150 to fore- Founded: 1962 by CEO Joel Myers cast three months of winter weather so it could plan for home Private forecasts for consumers, media outlets and heating demand. enterprises Number of employees: 500 Today conservative estimates of AccuWeather’s annual Money raised: Self-funded revenues exceed $100 million. Customers include hundreds of TV and radio stations across the country plus major print “THE MOST IMPORTANT THING outlets like the New York Times, the Wall Street Journal and IN A WEATHER FORECAST IS USA Today. More than 1,000 companies use AccuWeather’s ACCURACY. WE STAND BY OUR private weather forecasts to improve their bottom lines. Those NAME, AND THE STATISTICS range from the obvious—railroads and amusement parks SUPPORT IT.” like Six Flags—to the less obvious—say, Clemson University’s campus police department and Starbucks. In all, the business could be worth as much as $900 million, and Joel owns more than half of it, with the rest split among company executives and employees, including his youngest brother, Evan, who serves as COO. Joel’s other brother, Barry, who was AccuWeather’s CEO until January, recently sold his small stake for $16 million after being nominated in 2017 by President Trump to head the $5.4 billion (2019 budget) Na- tional Oceanic & Atmospheric Administration (NOAA). For decades, private weather forecasting has been a cozy industry, dominated in the U.S. by AccuWeather, the Weather Company (founded as the Weather Channel in 1982 and bought by IBM for $2.3 billion in 2016) and DTN, which focuses on industrial concerns and was purchased by a Swiss holding company for $900 million in 2017. But now a perfect storm of macro-trends—ever cheaper processing power, cloud computing, vastly improved AI and a proliferation of low-cost sensors—has opened up the field to a fresh crop of ambitious startups. In aggregate, they have raised hundreds of millions of dollars from investors, who think the incumbents look vulnerable to creative new business models. 46 | FORBES ASIA SEPTEMBER 2019

They are fighting over a big and growing pie. Recent num- member on a yacht owned by the Italian tycoon Gianni bers are hard to come by, but a 2013 study from the Wharton Agnelli. Two years into his degree, Jenkins started building a School estimated that overall revenues for climate and weath- contraption called a land yacht, with a tubular carbon-fiber er companies were about $3 billion and that, in aggregate, the cockpit and three race-car wheels, topped with a 12m sail. industry was worth some $6 billion. A 2017 report from the In March 2009, he zipped across a dry lake in the Mojave National Weather Service included a prediction that the sec- Desert, hitting 203kmh and setting a world record for wind- tor could quintuple in size. powered speed. “Every time we turn around, a different market cracks That experience incubated the idea of creating an armada open,” says Glen Denny, head of enterprise solutions at Baron of oceangoing robots with a design similar to his land yacht. Services. The 29-year-old firm in Huntsville, Alabama, which He formed Saildrone as a research project that would pro- manufactures $1 million Doppler radar units, has been beef- duce a fleet of 7m-long, 4.5m-high unmanned vessels, each ing up its custom forecasting business. equipped with up to 20 meteorological and oceanographic sensors. At first, he says, his idea was to collect data on ocean The possible applications are nearly endless. Take Nascar acidification, temperature and salinity and use it for the races, which are halted in the event of rain. At a recent event “greater good.” His first customers were government agencies at Michigan International Speedway, Chevy driver Austin like NOAA and NASA. Dillon skipped a pit stop and placed first when a downpour cut the race short. His secret weapon? A private IBM fore- By 2017, Jenkins realized that Saildrone’s robots were cast that alerted him to the likelihood of precipitation. “We gathering a unique and powerful data set that could factor get turn-by-turn forecasts within a quarter of a mile on the into superior weather forecasts. After all, most weather forms track,” says Pat Suhy, manager of the Chevrolet Nascar Com- over the oceans, where there are few weather stations to no- petition Group, which pays more than $100,000 a year for its tice it. Though it only has 25 robots deployed, he says Sail- forecast subscription. drone is already selling forecasts to sports teams, insurance companies and hedge funds. The impact grows with the size of the concern. Xcel Ener- gy, a Minneapolis utility with $11.5 billion in annual sales and a big wind-power division, saved its customers more than $60 million in fuel costs over seven years using private forecasts from Boulder, Colorado-based Global Weather Corp. Each private forecaster starts with freely available informa- tion from the National Weather Service. Most then add their own data sources, collected using cheap sensors deployed on everything from seafaring drones to, in Xcel’s case, its wind turbines. That data is fed into custom algorithms and weath- er models, often underpinned by rapid advances in AI and machine-learning. “It’s not only easier to collect massive amounts of data more and more quickly and run models on that data, it’s easy to disseminate the results quickly,” says Eric Floehr, the 49-year-old founder and CEO of ForecastWatch in Dub- lin, Ohio, regarded as the J.D. Power of weather prediction. “There is just more experimentation.” Among the many weather-related startups, three ClimaCell stand out because of the money they’ve raised; the innovative ways they are gathering, evalu- Founded: 2015 by CEO Shimon Elkabetz ating and selling weather data; and the scope of Hyperlocal forecasts using data from cellphone towers and their ambitions. street cameras Number of employees: 100 The most audacious may be Saildrone, founded by Rich- Money raised: $77 million ard Jenkins, 42, in Alameda, California, in 2012. A mechani- cal engineer and sailor, he was born in the U.K. to Australian “WHAT WE’RE DOING IS parents and moved back and forth between an English coun- REVOLUTIONARY. WE’RE try home near the yachting destination of Southampton and CHANGING THE PARADIGM.” his grandfather’s Australian farm. Before he studied engineering at Imperial College London, he spent a year on the open water, including a stint as a crew SEPTEMBER 2019 FORBES ASIA | 47

ENTREPRENEURS Jupiter Intelligence a warehouse in a low-lying area wants to know how much area it might lose to sea-level rise and when that loss might Founded: 2017 by CEO Rich Sorkin happen. The company’s insurer wants to know that too. QBE, Combines weather, climate and terrain data to create a big Australian insurer, is already a Jupiter customer, as is geographically-specific risk profiles Nephila, an insurance-focused investment firm. Both Number of employees: 50 are also investors who have contributed to the company’s Money raised: $33 million $33 million in backing. “UNDERSTANDING CLIMATE “IBM and AccuWeather predict the weather,” says Jupiter RISK IS ONE OF THE BIGGEST founder and CEO Rich Sorkin, 57. “We predict the impact of CHALLENGES FOR THE PLANET.” that weather.” Jupiter charges $200,000 to $500,000 to run a pilot for new clients. Yearly subscriptions cost $1 million and More than a half dozen investors, including the founda- up. Revenue to date is in the single-digit millions he says, but tion run by former Google CEO Eric Schmidt, are backing he projects ten times that for 2019. the company with $90 million in venture capital. Pitchbook pegs its value at $260 million. Employee head count is at 100 A Yale grad with an M.B.A. from Stanford who started his and growing. In January, the company launched a free weath- career as a management consultant, Sorkin ran Elon Musk’s er app and plans to charge for a premium version starting in first breakout venture, Zip2, which developed online city June. Cheap computing power allows Saildrone to quickly guides, before it sold to Compaq for $300 million in 1999. In test powerful weather models. But its vast trove of sensor data 2008 he made a first attempt at a startup to sell weather fore- makes it a novel challenger to AccuWeather and its ilk. “We casts to businesses. His idea was to take publicly available me- have a unique data source that they don’t have,” Jenkins says. teorological models, pump them up with computing power and sell 30-day forecasts to energy commodities traders. But Other startups take weather data and go several steps the forecasts were no better than the competition’s. He raised beyond forecasting. Two-year-old Jupiter Intelligence, based only $1 million for the company, Zeus Analytics, and it went in San Mateo, California, with offices in New York and out of business in 2011. Boulder, Colorado, combines weather data with information about an area’s environment and terrain to create “climate Jupiter looks more promising. The 50-person team in- risk assessments.” It sells two services, short-term predictions cludes talent from the federal government’s National Center of one hour to five days and long-range projections that look for Atmospheric Research and NOAA. Like Zeus, Jupiter uses up to 50 years into the future. government-issued weather data, but Sorkin says artificial in- telligence and detailed terrain-based information are pro- Jupiter hopes that major cities planning for hurricanes, ducing risk projections that customers are willing to pay for. floods and fires, like Houston and Los Angeles, will eventual- Without cloud computing, he says, Jupiter wouldn’t exist. ly become customers, but in the short run businesses affect- ed by severe weather seem like surer sells. Any company with Another challenger with huge ambitions: ClimaCell, cofounded in 2015 by Shimon Elkabetz, 32, a former Israeli air force pilot, while he was earning his M.B.A. at Harvard. When he was in the military, he nearly lost control of his plane after a forecast failed to warn him that he was about to fly into a thick bank of clouds. At the time, he thought to himself, “Someone has to come up with a new tool.” Together with two cofounders, he developed what he says are minute-by-minute, hyperlocal forecasts that he claims are 60% more accurate than those of competitors. ClimaCell’s The possible applications are nearly endless. 48 | FORBES ASIA SEPTEMBER 2019


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